Kalshi's annualized revenue has surged past $2 billion, tripling its November 2025 figure, as the prediction market platform cements its dominance in the U.S. The company is in informal talks with investment banks about a potential initial public offering, but sources say no listing is expected before late 2027 or 2028.
The $22 Billion Valuation
The revenue milestone comes on the heels of a $1 billion Series F funding round led by Coatue, which valued Kalshi at $22 billion — double its January valuation. Founded in 2020 by MIT and Y Combinator graduates Tarek Mansour and Luana Lage, the company now commands more than 90% of U.S. prediction market activity.
Volume and Institutional Growth
Kalshi's annualized trading volume climbed from $52 billion to $178 billion over the past year. In May 2025 alone, the platform recorded $16.81 billion in monthly trading volume, up from $14.81 billion in April. Institutional trading jumped 800% in the six months ended in early May, signaling a shift beyond retail users.
The CFTC Battle and Political Contracts
Kalshi's rapid growth was turbocharged by a late 2024 legal win against the Commodity Futures Trading Commission. The victory allowed the platform to list political event contracts, opening a floodgate of interest during a contentious election cycle. That ruling effectively ended the CFTC's years-long effort to block prediction markets for political events.
The company plans to use its latest capital for institutional expansion, including block trading and new risk products. With the IPO still years away, the immediate focus is on scaling infrastructure and adding features that attract big money players. How long Kalshi can sustain its triple-digit growth rates — and whether regulators will again try to rein it in — remains an open question.
